Conman Lance Benedict has had the first of what will be many hammers to drop on him and his TTM Guitars scam that has extorted over $250,000 from investors and customers.
The State of California Department of Business Oversight had recently published its complaint. outlining the state franchise laws that Benedict violated when offering his illegal franchises to people when he had no intention of actually having franchises. This was all a con to extort people’s money out of them. The DBO levied an administrative penalty of $10,000 against Benedict to be paid within 60 days and to provide restitution to the three individuals named in the complaint. The Commissioner of DBO also has the right to levy any further civil and/or criminal penalties against Benedict it deems necessary.
Also to note is not all of the victims of Benedict’s illegal franchise scam participated in the complaint to the state, most notably Mike Lucero and his partner. They can file a complaint at any time with DBO.
This action by the DBO will most certainly bolster the case against Benedict by Chris McKenna that is to go to trial this summer where Benedict extorted $100,000 by scamming McKenna into thinking he was going to be a majority partner in the TTM Guitars LLC that Benedict illegally dissolved back in August of 2019.
This still leaves the FBI, US Postal Inspection Service, California Attorney Generals Office, The Federal Trade Commission, The State of CA Department of Revenue and Labor, and the Internal Revenue Service left with active open civil and criminal investigations against Benedict and his crime family. Expect Benedict to try and file for bankruptcy protection, but with the allegations of fraud proven, The debtors have a chance to argue for the Bankruptcy petition to be dismissed based on fraud.
Below is the actual complaint that was published by the California DBO: